Federal and Washington Estate Taxes for 2022
The “basic exclusion amount” is the amount of a deceased person’s estate that passes free of federal estate tax. This differs from the unlimited marital deduction that applies when one spouse dies and transfers all of his or her interest in property to the surviving spouse. There is a basic exclusion amount for federal estate tax purposes and an applicable exclusion amount for the state of Washington’s estate tax purposes. Under federal law, the basic exclusion amount is subject to adjustment. For people dying in 2022, the federal basic exclusion amount increases to $12,060,000 from the 2021 amount of $11,700,000.
Under Washington law, the applicable exclusion amount is also subject to adjustment. However, due to a change made a few years ago in the federal government’s determination of the applicable consumer price index which has not been reflected in Washington law or regulations, Washington’s applicable exclusion amount will remain the same in 2022 as it has been since 2018, $2,193,000.
If you need assistance with your estate planning, contact Per Oscarsson or one of the other attorneys in Beresford Booth’s Estate Planning and Probate Group at info@beresfordlaw.com or by phone at (425) 776-4100.